How does partition work when spouses are both shareholders in a corporation?

In Québec, when spouses are both shareholders in a corporation, the company itself is not divided as part of the family patrimony. Under C.c.Q. arts. 415–418 and 421–422, each spouse keeps ownership of their individual shares, but the value of the shares may be included in the partition if they represent family property (for example, if dividends or the company financed the family residence). The court may order a valuation of the shares and, if needed, a compensatory payment to balance the division. Corporate law under s. 35 of the Business Corporations Act prevents the court from forcing transfer of ownership without consent.

C.c.Q. art. 415–418, 421–422; Business Corporations Act (RLRQ, c. S-31.1), s. 35

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